Cips Level 3 Module 1 Questions And Answers 100% Correct

What is a performance specification? {Ans: This is an outcome focused specification, usually used for services.}What is incentive based pricing? {Ans: When the price is tied to the achievement of an agreed level of performance.}What are the five groups that are impacted by organisations corporate social responsibility? {Ans: Customers, suppliers, employees, the environment and local communities.}What are the three stages of the procurement operational cycle? {Ans: Need, order and deliver}What is the macro economy? {Ans: A country's whole economy rather than any specific sector of it. Some factors include interest rates, inflation, exchange rates, level of economic activity, supply and demand.}How many employees does a micro business have? {Ans: Less than 10}What are economies of scale? {Ans: reductions in unit cost resulting from production being increased}What is a BRD? {Ans: Business requirements definition - it answers the "what to buy" question and is based on the needs analysis from operations}What does STEEPLED stand for? (External factors - macro environment) {Ans: Sociological, technological, economic, environmental, political, legal, ethical, demographic}What does RAQSCI stand for? (a model for identifying business requirements) {Ans: Regulatory, assurance of supply, quality, service, cost and innovation}What are SMART